Sunn Company manufactures a single product that sells for $180 per unit and whose variable...
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Accounting
Sunn Company manufactures a single product that sells for $180 per unit and whose variable costs are $135 per unit. The company's annual fixed costs are $562,500. Management targets an annual income of $1,012,500. (1) Compute the unit sales to earn the target income. Numerator: Denominator: Units to Achieve Target Units to achieve target Contribution margin per unit target income. Contribution margin ratio Denominator: Dollars to Achieve Target Dollars to achieve target Fixed cost plus target income Fixed costs
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